DMart Share Price Falls Over 3% After 1% Stake Changes Hands In Block Deal

Shares of Avenue Supermarts Ltd, which operates the DMart retail chain, fell more than 3% on Wednesday, August 26, after 69.1 lakh shares, equivalent to 1.06% of the company's equity, changed hands through a block deal. The identities of the buyers and sellers involved in the transaction were not immediately known.

At the prevailing market price, the transaction is estimated to be worth around Rs 2,600-2,700 crore. In afternoon trade, Avenue Supermarts shares were changing hands at around Rs 3,781 apiece, down 3.3% from the previous close. At that price, the retailer had a market capitalisation of around Rs 2.47 lakh crore. The stock has gained about 1.8% so far in 2026, while the Nifty 50 has declined 6.9% over the same period.

As per shareholding data available on the stock exchanges, promoter entities held a 74% stake in Avenue Supermarts at the end of the April-June quarter, with public shareholders holding the remaining 26%.

Business Performance

The block deal comes a little over a month after the DMart operator reported its first-quarter results for FY27.

Standalone net profit rose 12.8% year-on-year to Rs 935.8 crore, while revenue from operations increased 15.1% to Rs 18,343.5 crore. On a consolidated basis, net profit stood at Rs 860.6 crore, up 11.3% from Rs 773 crore in the year-ago quarter. Consolidated revenue rose 14.9% to Rs 18,794 crore from Rs 16,359 crore, while EBITDA increased to Rs 1,499 crore from Rs 1,299 crore.

Growth at mature stores, however, slowed during the quarter. Like-for-like growth eased to 5.5%, from 10.8% in the fourth quarter of FY26 and 7.1% in the year-ago period, pointing to weaker momentum across established outlets.

Following the results, brokerages remained cautious on the stock, citing slower same-store sales growth and intensifying competition from quick-commerce platforms in key metro markets. Operating profitability, however, remained resilient.

The pace of store expansion has also emerged as a focus for investors. During its analyst meet, DMart management indicated plans to increase its store count by around 15% of the existing base, translating to roughly 75 new stores. That was slightly below market expectations of around 80-100 additions.

Management has also identified quick commerce as a structural threat to the business. As reported by CNBC-TV18, analysts who attended the meeting said the company does not expect a meaningful revival in same-store sales growth in the coming years, adding to concerns around the retailer's growth trajectory.

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